Scribd
Upload
39 views5 pages

Chapter 7 2

Human resource management involves determining human resource needs and recruiting, selecting, developing, motivating, evaluating, compensating and scheduling employees. The chapter outlines the importance of HRM and discusses its key processes including human resource planning, recruitment, selection, training, performance appraisal, compensation, and managing employee movement. It describes the five steps of human resource planning, six steps of selection, and six steps of performance appraisal. Common recruitment challenges, training techniques, and types of compensation systems are also summarized.

Uploaded by

Nouran Mohamed Abd Azeem
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
39 views5 pages

Chapter 7 2

Human resource management involves determining human resource needs and recruiting, selecting, developing, motivating, evaluating, compensating and scheduling employees. The chapter outlines the importance of HRM and discusses its key processes including human resource planning, recruitment, selection, training, performance appraisal, compensation, and managing employee movement. It describes the five steps of human resource planning, six steps of selection, and six steps of performance appraisal. Common recruitment challenges, training techniques, and types of compensation systems are also summarized.

Uploaded by

Nouran Mohamed Abd Azeem
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 5

Introduction to Business

Human Resource Management: Finding and Keeping the Best Employees

2019-2020-1T-BADM100-CH7
Chapter 7
Human Resource Management
: Finding and Keeping the Best Employees
LEARNING OBJECTIVES
1. Explain the importance of human resource management, and
describe current issues in managing human resources.
2. Summarize the five steps in human resource planning.
3. Describe methods that companies use to recruit new employees,
and explain some of the issues that make recruitment challenging.
4. Outline the six steps in selecting employees.
5. Illustrate employee training and development methods.
6. Trace the six steps in appraising employee performance.
7. Summarize the objectives of employee compensation programs,
and evaluate pay systems and fringe benefits.
8. Describe how employees can move through a company:
promotion, reassignment, termination, and retirement.
Human Resource Management:

• Human Resource Management (HRM) -- The process of determining human resource


needs and then recruiting, selecting, developing, motivating, evaluating,
compensating and scheduling employees to achieve organizational goals.
• HRM’s role has grown because of:
1. Increased recognition of employees as a resource.
2. Changes in law that rewrote old workplace practices.
Human Resource Planning Process
1) Preparing a human resource inventory of employees.
2) Preparing a job analysis.
3) Assessing future human resource demand.
4) Assessing future labor supply.
5) Establishing a strategic plan.
What’s a Job Analysis?
• Job Analysis – A study of what employees do who hold various job titles.
• Job Description – A summary of the objectives of the job, the type of work, the
responsibilities and duties, working conditions and relationship to other jobs.
• Job Specifications -- A summary of the minimum qualifications needed to do a
particular job.
Recruiting Employees:
• Recruitment -- The set of activities for obtaining the right number of qualified people
at the right time.
• Some factors that make it difficult to recruit qualified employees include:
organizational policies that demand promotions from within, union regulations, and
low wages.
• Human resource managers use both internal and external sources to recruit
employees.
• Small businesses often make use of web sources like CareerBuilder and Monster to
recruit employees.

2020-2021-1T-BADM100-CH7 1
Employee Sources:

• Selection -- The process of gathering information and deciding who should be hired,
under legal guidelines, to serve the best interest of the individual and the
organization.
Steps in the Selection Process:

1. Obtaining complete application forms


2. Conducting initial and follow-up interviews
3. Giving employment tests
4. Conducting background investigations
5. Obtaining results from physical exams
6. Establishing trial (probationary) work periods
TEST PREP
• What’s human resource management?
• What are the five steps in human resource planning?
• What factors make it difficult to recruit qualified employees?
• What are the six steps in the selection process?
Training and Developing Employees:
• Training and Development -- All attempts to improve productivity by increasing an
employee’s ability to perform.
• Training focuses on short-term skills.
• Development focuses on long-term abilities.
Three Steps of Training and Development:
2020-2021-1T-BADM100-CH7 2
1. Assessing organization needs and employee skills to develop appropriate training
needs.
2. Designing training activities to meet identified needs.
3. Evaluating the training’s effectiveness.
Most Commonly Used Training and Development Activities:
• Orientation
• On-the-Job Training
• Apprenticeships
• Off-the-Job Training
• Online Training
• Job Simulation
Developing Effective Managers:

• Management Development -- The process of training and educating employees to


become good managers and monitoring the progress of their skills over time.
• Management training includes:
- On-the-job coaching
- Understudy positions
- Job rotation
- Off-the-job courses and training

APPRAISING PERFORMANCE on the JOB:

SIX STEPS of PERFORMANCE APPRAISALS


1. Establishing performance standards that are understandable, measurable and
reasonable.
2. Clearly communicating those standards.
3. Evaluating performance against the standards.
4. Discussing the results with employees.
5. Taking corrective action.
6. Using the results to make decisions.
MAJOR USES of PERFORMANCE APPRAISALS:
• Identify training needs
• Use as a promotion tool
• Recognize worker’s achievements
• Evaluate the firm’s hiring process
• Judge the effectiveness of the firm’s orientation process
• Use as a basis for possible termination of a worker
TEST PREP
• Name and describe four training techniques.
• What’s the primary purpose of a performance appraisal?
• What are the six steps in a performance appraisal?
TYPES of PAY SYSTEMS
Salary:

2020-2021-1T-BADM100-CH7 3
Fixed compensation computed on weekly, biweekly, or monthly pay periods (e.g., $1,600 per month or $400 per
week). Salaried employees do not receive additional pay for any extra hours worked.

Hourly wage or daywork

Wage based on number of hours or days worked, used for most blue-collar and clerical workers. Often
employees must punch a time clock when they arrive at work and when they leave. Hourly wages vary greatly.
This does not include benefits such as retirement systems, which may add 30 percent or more to the total
package. The federal minimum wage is $7.25, and top wages go as high as $40 per hour or more for skilled
craftspeople.

Piecework system

Wage based on the number of items produced rather than by the hour or day. This type of system creates
powerful incentives to work efficiently and productively.

Commission plans

Pay based on some percentage of sales. Often used to compensate salespeople, commission plans resemble
piecework systems.

Bonus plans

Extra pay for accomplishing or surpassing certain objectives.There are two types of bonuses: monetary and
cashless. Money is always a welcome bonus. Cashless rewards include written thank-you notes, appreciation
notes sent to the employee’s family, movie tickets, flowers, time off, gift certificates, shopping sprees, and other
types of recognition.

Profit-sharing plans

Annual bonuses paid to employees based on the company’s profits. The amount paid to each employee is based
on a predetermined percentage. Profit sharing is one of the most common forms of performance-based pay.

Gain-sharing plans

Annual bonuses paid to employees based on achieving specific goals such as quality measures, customer
satisfaction measures, and production targets.

Stock options

Right to purchase stock in the company at a specific price over a specific period. Often this gives employees the
right to buy stock cheaply despite huge increases in the price of the stock. For example, if over the course of his
employment a worker received options to buy 10,000 shares of the company stock at $10 each and the price of
the stock eventually grows to $100, he can use those options to buy the 10,000 shares (now worth $1 million) for
$100,000.

MOVING EMPLOYEES
• Employees are promoted or reassigned.
• Employees are terminated due to performance or economic situations.
• Employees retire.
TERMINATING EMPLOYEES
• Firing employees is more difficult for employers because of laws preventing
termination for certain acts.

2020-2021-1T-BADM100-CH7 4

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy